Adventures in Legal Outsourcing to India and Beyond

June 08, 2011

Association of Corporate Counsel Blog: "Legal Offshoring Is Not Just for Documents Anymore"

In its blog, "In-house ACCess," the Association of Corporate Counsel today features an article discussing the advantages of offshore legal outsourcing when it comes to matters way beyond the document review chores that many people associate with LPO:

Legal experts are saying that with the use of offshore legal outsourcing for tasks such as legal research and the drafting of successful motions, companies are beginning to realize that when it comes to frivolous lawsuits and/or exaggerated damage claims, there is a new, alternative response that could change the legal landscape. Traditionally, the choice has been either (a) an all-too-often pyrrhic litigation battle, in which legal fees end up costing more than a settlement, or (b) an onerously expensive capitulation. Reportedly, there is now a third choice, which sounds like an oxymoron to most in-house lawyers: a cost-effective legal defense.

In her article, Ms. Vanderpuye cites and discusses various expert reports, before concluding that the implications of high-end legal outsourcing could be "huge":

Given that the majority of litigation costs involve drafting of paperwork and related legal research, and because legal work done offshore can be about one-seventh as expensive, the implications of this development could be huge. The average large corporation spends $19.4 million per year on outside counsel fees, much of it for litigation. It’s typical for major multinational companies to reserve billions each year for expected legal fees and settlements.

The ACC, with over 26,000 members in 75 countries, is the trade association for in-house counsel, worldwide. The ACC promotes the common interests of its members, provides resources to help save time, money and effort, contributes to their continuing education, helps them succeed in their careers, and provides a voice on issues of national and international importance.

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